A biofuel test plant in northeast Wyoming will soon be turning sugarcane waste into ethanol.
KL Energy and Brazil's state-run oil company, Petrobras, have signed an agreement to produce cellulosic ethanol from the waste created when sugarcane is processed into sugar. KL Energy is based in Rapid City, S.D.
Under the agreement, Petrobras will invest $11 million to adapt KL Energy's test plant in Upton to using sugarcane waste and other materials. The plant has been using pine tree waste to produce ethanol.
KL Energy will use sugarcane waste from Louisiana since sugarcane doesn't grow in Wyoming.
In addition, the two companies will work together on using the process developed at the Wyoming plant at a Petrobras sugar mill in Brazil.
